The companies selected typically are in different industries and different geographic regions. Given below is a basic glossary of terms that you must know as an investor. Some of the definitions are tsxspecific and, as a result, may differ from standard general definitions. Understanding the stock market can be a daunting task for any new investor. The amount customers owe a company for its products or services. Buying or selling securities after being listed in the financial market. This glossary of terms has been produced to aid beginning traders in the challenging task of becoming familiar with new vocabulary and terminology.
Cycle count the systematic counting of a portion of the total inventory on a periodic basis, such that all inventory lines are counted and reconciled in the course of a complete fiscal year. These securities have high credit ratings but are not backed by the full faith and credit of the u. A glossary of stock market terms and basic stock market concepts for students and beginning investors. Admission to dealing the process of granting permission to the securities of a company to be listed in a stock exchange and to provide trading facilities for the securities in the market.
A new issue of shares dealt on the stock market on which no payment has yet been made, usually from a new issue or rights issue. Stock market glossary stock trading terms dictionary. Having launched it originally in 2004 we have now updated it with modern terminology to meet with the increasing demand for the book. Initial public offering, abnormal return and liquidity are just a few of the terms you will come across when you invest in the stock market. A method of recording a companys financial activity and arranging the information in reports that make the information understandable. The glossary of financial and investing terms allows you search by term or browse by letter more than 8,000 terms and definitions related to the stock market. The amount a company owes to suppliers for products and services bought. The asx groups activities span primary and secondary market services, including capital formation and hedging, trading and price discovery australian securities exchange central counter party risk transfer asx clearing corporation. Glossary of investmentrelated terms as of june 2019 12b1 fee. Bear market a bear market is a prolonged period of falling stock prices, usually marked by a decline of 20% or more. Glossary of purchasing and warehouse inventory terms. Investing on the stock market is riskier than some other investments.
To separate wise investments from inappropriate ones and develop your stock investing smarts, you should understand these and other terms related to the trading arena. A market where debt or equity securities are traded. Balanced fund mutual funds that seek both growth and income in a portfolio with a mix of common stock, preferred stock or bonds. Heres a glossary of stock market terms, suitable for beginners just learning how to pick stocks. Jun 01, 2019 stock market terminologies are industryspecific terms which are frequently used when we read or talk about the stock market. Welcome to firstrades stock trading terms glossary. New york stock exchange nyse the oldest and most famous market for the buying and selling of securities. This az pocket guide to understanding financial terms is just one of the achievements of ebss partnership with nala. Basic investment terms creative capital management.
A general term for the marketplace in which people buy and sell investments e. The stock market game glossary armorel high school. It takes time as well as dedication to grasp the intricacies of securities trading, but when you do, the stock trading terminologies above will become a part of your daily vocabulary. Young individuals who have the interest and the enthusiasm for stock trading usually lack the basic domain knowledge of the market. Not only are there many concepts and technical terms to decipher, but nearly everybody will try to give you conflicting pieces of advice. Common share market terminology for beginners part 1. Stock market terminology as with anything else, mastering the stock market means mastering the lingo and for traders, that can be a bit confusing at first. For example, an employee receiving a raise may reply with the words cool beans, upon receiving the news. Stock market glossary browse the az glossary of financial terms, definitions and explanations associated with stock trading here. With this handy guide, market terms will start making way more sense. Stock terms glossary of stock market terms and definitions. The price set by interested buyers and sellers for the stock of publicly traded companies.
Glossary of terms used in technical analysis market technicians association educational foundation concession or spread price differential between trades when blocks of stock are involved. Stock market glossary of terms learning how and when to buy and sell stocks takes time and information. The guide is an important resource that will help to create a much greater understanding of. The additions reflect the everchanging face of investment markets, with the associated phraseology that this introduces. However, the higher risk involved also means that you have an opportunity to make a greater profit. To separate wise investments from inappropriate ones and develop your stockinvesting smarts, you should understand these and other terms related. Finding an integrated glossary of stock market terms and definitions is only possible in the stock market section of a financial dictionary. In the stock market, an agent refers to a brokerage firm which buys or sells shares on behalf of the investor. Experts and novice often use these terms to talk about strategies, charts, indices and other elements of the stock market. It is a measurement of relationship between stock price of any. Glossary of investment terms agency securities securities issued by u.
Glossary of commonly used stock market terminologies arbitrage the business of taking advantage of difference in price of a security traded on two or more stock exchanges, by buying in one and selling in the other or vice versa. A comprehensive glossary is a valuable reference tool that can be used when attending seminars, watching or listening to financial programs and reading financial market material. Glossary of commonly used stock market terminologies. Gorilla trades is not only an online stock picking service, but it also provides subscribers with educational resources and information to help them decide how and when to buy and sell stocks, how to limit losses, and how to increase returns.
A rise in the price of a security or in the value of one currency in terms of another. Heres a glossary of 40 key stock trading terms for beginners. Bear market this is trading talk for the stock market being in a down trend, or a period of falling stock prices. Stock market game term the amount of total equity remaining for buy and shortsell trades after subtracting the initial margin requirement for. The reason for this is that share prices rise and fall all the time as economic and market forces change. Whether youre buying a house, planning a retirement or looking for a great value stock, navigating the complex world of money can be a mess of confusing. Generally, it is a period of price equilibrium following a. Keep this list handy when screening for potential trades on stockstotrade. Margin collected by the stock exchange from the members having unduly large outstanding position. Or securities market related instruments like shares, bonds. Debt instruments issued by corporations to meet their shortterm financing needs. The new york stock exchange, the american stock exchange, and the national association of securities dealers automated quotation system you hear it called nasdaq on the news. Default noncompliance of a firm to provide goods or services according to contractual terms.
Stock market terms for dummies by billie nordmeyer mba, ma initial public offering, abnormal return and liquidity are just a few of the terms you will come across when you invest in the stock market. Knowing about the above share market terminologies will make you a better trader. The most comprehensive investing glossary on the web. Government agencies, such as the federal home loan bank. Learn vocabulary, terms, and more with flashcards, games, and other study tools. A bull market is a prolonged period where investment prices rise faster than their historical average, as a result of economic recovery, boom, or investor psychology. In certain cases we have specified that terms relate to a particular asset. An investor usually chooses abandonment when the option is outofthemoney on the expiration date. For example, an employee receiving a raise may reply with. Whether youre buying a house, planning a retirement or looking for a great value stock, navigating the complex world of money can be a. However, it differs from the stock exchange in that it deals with the assets themselves i. Issued stock that has been bought back by the corporation.
Get out of a position or sell the shares youve purchased. Similar to the stock exchange where forces of supply and demand meet and prices are determined accordingly. A fee assessed on cer tain mutual funds or share classes and per mitted under a securities and exchange commission sec rule to help cover the costs associated with marketing and selling the fund. This article attempts to create a list of stock terms, that will not require you to go and search elsewhere. This article gives to the point, elementary meanings of stock market terms. Additionally, consider practicing your investing skills with our list of stock market game for kids. Younger students can take a look at the money games for kids. Below, you will find a list of stock market terminology, including the most common stock terms and their definitions for a better grasp of stock market operations. So, check out this stock market glossary for some stock terms and. Read further to learn 37 essential stock market terms that you need to know to be a.
A market in which stock prices are falling consistently. Stock market terms, investment terminology and definitions. The basics are essential before you master any skill. Nil paid a new issue of shares dealt on the stock market on which no payment has yet been made, usually from a new issue or rights issue. Following is a glossary of stock market terms all or none or aon. Stock market terms speak the language of the stock market consult our stock market terms for a glossary of terms and vocabulary that may help you better understand the capital markets. Expanding your stock market vocabulary will enable you to be a better investor, so that you can trade successfully. The glossary of financial and investing terms allows you search by term or browse by letter more than 8,000 terms and. Quite simply it means you try to buy something cheap in one place, to make a profit selling it somewhere else. Beta a measurement of the relationship between the price of a stock and the movement of the whole market. Glossary of investmentrelated terms empower institutional. An investor usually chooses abandonment when the option is out of themoney on the expiration date.
Confirmation two or more trend or momentum measures extending their trends to new highs or lows at the same time. Glossary of key economic and stock market terms prudential. The market lists available securities and their selling prices, then connects buyers with sellers. A slang term used to refer to something favorable that has happened in business. We have expanded this years edition of the investment dictionary by introducing several terms since our last update in 2012 that cover industry updates, as well as other terms not covered previously. The value assigned in a corporations articles of incorporation to one share of stock. So, check out this stock market glossary for some stock.
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